{"id":3244,"date":"2021-11-25T12:00:20","date_gmt":"2021-11-25T12:00:20","guid":{"rendered":"https:\/\/news.sap.com\/india\/?p=3244"},"modified":"2023-08-14T18:10:38","modified_gmt":"2023-08-14T18:10:38","slug":"hr-and-business-operation","status":"publish","type":"post","link":"https:\/\/news.sap.com\/india\/2021\/11\/hr-and-business-operation\/","title":{"rendered":"Closing the gap between HR and Business Operations"},"content":{"rendered":"

The contribution of human resources (HR) to organizational performance is up for debate even though there has been a monumental change in roles and responsibilities. In today\u2019s connected organization, HR no longer functions in a silo aligning itself to business goals. Whether it has been helping organizations and employees pivot to hybrid working and remote working or constantly enhancing employee engagement to spur productivity, HR\u2019s role has been pivotal.<\/p>\n

In the past two years, in particular, HR\u2019s strategic role<\/a> and its organizational importance has come to fore. From talent management to its role in ensuring business as usual by liaising with IT teams to provide collaborative tools and increase technology adoption is well-documented. What this has also led to is the increased use of data to derive insights resulting in better talent management (both hiring and retention). But leveraging data and analytics hasn\u2019t been adopted as much as it should. Manual intervention is still time consuming, costly and at times ineffective. Consequently, human resource teams are beginning to realize the importance of people analytics and more data driven management in all aspects of HR functions.<\/p>\n

HR takes a central role in business strategy<\/strong><\/p>\n

There has always been a distinctive difference in the conversations that happen in HR vis a vis other functions (sales, marketing, finance, etc.) . Typically, the former tends to be more anecdotal in nature, while other functions are mostly always data-driven. This strengthens pre-existing notions of Human Resources as an intuitive function. Of course, the role of HR in talent management strategies need to find basis in individuals. But by nature of diverse work cultures and office dynamics, HR strategies aren\u2019t always accurate and subjected to bias. And while data is an intrinsic part of HR operations, it usually finds its place in descriptive reports (number of people organization-wide, geographic spread, etc.\u2026) \u00a0rather than as a tool that can be leveraged while planning business strategies.<\/p>\n

According to Deloitte, the focus on big data will challenge HR leaders to build a people analytics team, bring together multi-disciplinary skills, and develop a long-range plan to \u201cdatafy\u201d HR.<\/p>\n

People choosing People Analytics<\/strong><\/p>\n

While data analytics is just that, crunching data to get a better understand of what the numbers imply, people analytics is a whole different game. People analytics refers to all talent data and its application which helps human resources base their talent management strategies on data. It also allows HR to spot trends and predict talent strategy.<\/p>\n

In fact, people analytics becomes the bridge which connects HR metrics to business outcomes. amalgamating pre-existing HR data with real time activities. This approach would help create a database through which HR can model and predict outcomes helping businesses attain maximum returns on investments on human capital.<\/p>\n

According to Deloitte research, 70% of respondents surveyed had invested in people analytic tools while over 50% planned to invest in such tools. Digitization in the workforce, owing to the pandemic, has also prompted high performing organizations to be two times more likely to implement people analytics software over low performing organizations. In part, this due to the cost-effective software and because of its ability to offer unique insights to shape the employee experience, which has proved to be of paramount importance in recent times.<\/p>\n

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Employees are your first customers<\/strong><\/p>\n

While most businesses agree that it is crucial to have a customer-centric model for more success, they often fail to realize that employees are the first customers, who in turn can ensure customer satisfaction. The company goals \u2013 whether they are revenue related or cost and market share related, eventually comes down to employee satisfaction.<\/p>\n

Employee engagement and satisfaction are the pillars on which a company can build its overall business goals. And this has become of even more importance during the pandemic where 41% of US employees<\/a> feel burnt out from working remotely. Factors influencing this include-<\/p>\n